Granite Peak Buys Single-Tenant Assets

ANAHEIM, CA-Granite Peak Partners of Santa Barbara and Los Angeles has acquired three industrial properties in Orange and San Diego counties totaling approximately 66,000 sf for $11.3 million. The three, all single-tenant properties, include a 16,169-sf building at 10025 Huennekens St. in the Sorrento Mesa portion of San Diego County, a 24,384-sf building at 1000 N. Kraemer Place in Anaheim and two buildings totaling 25,000 sf at 1185-1191 Hawk Circle in Anaheim.

Matt Eggleston of Granite Peak comments that the San Diego County building appealed to the company both because of the specific asset and because of the property's location in the Sorrento Mesa market, which has a high proportion of technology-related companies. He notes that in 2005 Granite Peak bought the Ponderosa Technology Park in Kearny Mesa for $30 million. "It's been a huge success for us and a great indicator of this North San Diego area," Eggleston says.

Granite Peak bought the San Diego County asset for $3.1 million from a private investment group in a deal that was brokered by Michael Roberts, Glen Arnold and Steve Rowland of the San Diego office of Grubb & Ellis/BRE Commercial. The property is leased to Neb-Cal Printing, one of the largest printing companies in the area.

Granite Peak bought the 1000 N. Kraemer Place building from a private investment group for $4.4 million in a deal that was more of a core asset acquisition than is typically the case for the company, according to Pierra Tada, a Granite Peak partner. Tada explains that, while the company typically looks for value-add plays, "Occasionally, our advisory services group has the need for core assets."

Built in 1975, the 1000 N. Kraemer building sits on 1.87 acres and is occupied by University Marelich Mechanical on a long-term lease. Tada says the deal will result in "a return on investment that exceeds anything we've seen for several years."

The third property was purchased for $3.8 million and sits on 1.14 Acres. The single tenant is Cytec Engineered Materials Inc., which recently signed a new 10-year lease on the buildings, according to Bruce Savett, a partner at Granite Peak. The sale was brokered by Chuck Wilson and Brad Christian in the Anaheim office of Colliers International.